The TATAs! Who doesn’t
know them? Well, this time their plan is bigger and bolder. They are marching
into the nuclear space. Tata Steel, one of the world’s largest steel producers,
is exploring nuclear energy to produce green steel.
Small Reactors, Big Ambitions: Tata Reinvents
Green Steel
Currently, the steel giant is
assessing many factors that would play a pivotal role in green steel
production. They aim to install around 200 BSRs, within the atomic energy
sector. One unit will have a capacity of 220 MW, which would collectively
provide about 45 GW of power.
Although Tata Steel has
not officially commented, sources indicate that the company is keen on
transitioning to green steel production. This move comes even though Tata Steel
does not export significant quantities to Europe, where the ‘carbon border adjustment mechanism‘ (CBAM) is set to
begin on January 1, 2026. The CBAM will impose a duty on certain imported
goods, including steel, based on their greenhouse gas (GHG) emissions during
production. This measure aims to protect European producers from being undercut
by imports with higher carbon footprints.
Media reports also
reveal that other steel companies are considering BSRs, but Tata Steel appears
particularly interested. If the plan proceeds, Tata Steel intends to use the
electricity generated by these BSRs to power electrolyzers for green hydrogen production. This hydrogen would
then replace coking coal, which is used in steelmaking, significantly reducing
carbon emissions. Thus, Tata has etched a clear pathway to decarbonize one of
the hardest sectors.